HomeMy WebLinkAboutRes 1820 - Reimbursement from Bond Proceeds for Interurban Avenue South ProjectCity of Tukwila
Washington
Resolution No. 1820
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUKWILA, WASHINGTON, EXPRESSING OFFICIAL INTENT,
PURSUANT TO TREASURY REGULATION SECTION 1.150 -2,
TO REIMBURSE THE CITY FROM THE PROCEEDS OF
BONDS FOR CERTAIN ORIGINAL EXPENDITURES PAID IN
CONNECTION WITH CERTAIN ARTERIAL STREET FUND
PROJECTS; AND DESIGNATING AN AUTHORIZED
REPRESENTATIVE TO MAKE DECLARATIONS OF OFFICIAL
INTENT ON BEHALF OF THE CITY.
WHEREAS, the City of Tukwila, Washington (the "City "), intends to make
expenditures for the Project (identified below) from funds that are available but that are
not, and are not reasonably expected to be, reserved, allocated on a long -term basis, or
otherwise set aside for those expenditures, and reasonably expects to be reimbursed
for those expenditures from proceeds of bonds or other obligations issued to finance
those expenditures; and
WHEREAS, it is the intent of the City to pay certain capital expenditures incident to
the acquisition and construction of the Project to be financed by the proceeds of the
bonds from other funds of the City pending the sale and delivery of the bonds and the
receipt of the proceeds thereof, and the City reasonably expects to reimburse the funds of
the City from the proceeds of such bonds;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
Section 1. Description of Project for which Expenditures are to be made. This
declaration of intent is made no later than 60 days after payment of the original
expenditure for the Project. The Project is described as the Interurban Avenue South
Project —a design and construction of sidewalks, pavement restoration, drainage, and
lighting project at South 143rd Street and Fort Dent Way, Project No. 90310402 —the
"Project ").
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Section 2. Maximum Principal Amount of Obligations Expected to be Issued
for the Project. The City expects that the maximum principal amount of bonds that will
be issued to finance the Project will be three million five hundred thousand dollars
($3,500,000).
Section 3. Declaration Reasonable. The City Council has reviewed its existing and
reasonably foreseeable budgetary and financial circumstances and has determined that
the City reasonably expects to reimburse itself for expenditures for the Project from
proceeds of bonds because the City has no funds available that already are, or are
reasonably expected to be, reserved, allocated on a long -term basis, or otherwise set
aside by the City for those expenditures on the Project.
Section 4. Limitations on Uses of Reimbursement Amounts. For one year after
the allocation of proceeds, the City will not use amounts corresponding to proceeds
received from bonds issued in the future to reimburse the City for previously paid
expenditures for the Project in any manner that results in those amounts being treated as
replacement proceeds of any tax exempt bonds, i.e., as a result of being deposited in a
reserve fund, pledged fund, sinking fund or similar fund other than a bona fide debt
service fund that is expected to be used to pay principal of or interest on tax exempt
bonds. The City will not use said amounts in any manner that employs an abusive
arbitrage device to avoid arbitrage restrictions.
Section 5. Designation of Authorized Representative. The Finance Director is
hereby designated as the authorized representative of the City to declare in writing, in
such form as may be approved by the City Council, the official intent of the City to
reimburse original expenditures for the Project from proceeds of debt to be issued for
purposes of and in accordance with Treasury Regulation Section 1.150 -2.
Section 6. Implementation. The Finance Director is hereby authorized to
implement such administrative procedures as may be necessary to carry out the
directions of this legislation.
PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON,
at a Regular Meeting thereof this 1» day of 19i,r,1 , 2014.
ATTEST /AUTHENTICATED:
(91FJ2,,Li
O'Flah rt
MMC, City Christy y, y De'Sean Quinn, Council President
APPROVED AS TO FORM BY:
Shelt6M. K y Attorney
Filed with the City Clerk: 3
6 -1y
Passed by the. City Council: ° -I 11
Resolution Number: j <9 . 0
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